XM delivers 9.33m subs

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XM Satellite Radio reported a 17% revenue increase at $308m, and an 18% increase in subscribers to 9.33m. Gross additions were also well up, but so were losses.

XM ended Q1/008 with 9.33m subs, an 18% increase, compared to 7.91m subs at the end of Q1/2007. This growth was driven by a 49% year-over-year increase in the number of gross additions through the automotive (OEM) channel. Q1/2008 OEM gross additions were 802,000, compared to 537,000 in the same period last year.

"In first quarter 2008 we delivered the largest number of new customers from the automotive channel in XM's history, marking the fourth consecutive quarter of record OEM gross additions," said Nate Davis, president/CEO of XM Satellite Radio. "XM's ongoing investment in the OEM channel is paying dividends in the form of record customer additions and continued revenue growth as our OEM partners further expand XM's reach to millions of consumers."

In first quarter 2008, XM reported total gross additions of 1.034m, and 303,000 net additions, compared to 868,000 gross additions and 285,000 net additions in first quarter 2007.

First quarter 2008 adjusted operating loss was $30.7m, compared to a loss of $27m in Q1/2007. The Q1/2008 adjusted operating loss includes $3.5m of merger related expenses, compared to $9.2m in first quarter 2007.

XM's first quarter 2008 net loss was $129m, compared to a first quarter 2007 net loss of $122m. Subscriber Acquisition Costs stood at $72 ($65 last year).

There were plenty of positive metrics, despite the overall loss, and only going to emphasise the merits of a merger with Sirius. For example, ad-sales generated a useful $9.1m ($7.48m same period last year).




Source: Rapid TV News

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